Yang Hyun-sang Column: 'Defense Companies Without AI Integration Will Be Phased Out... A Warning from the U.S.-Iran War

The recent military clashes between the U.S. and Iran in the Middle East signify more than a regional conflict, marking a paradigm shift in warfare. Modern combat outcomes now hinge on data and AI rather than sheer troop numbers or weapon quantities, as evidenced by battlefield systems where AI autonomously identifies targets, controls drone swarms, and prioritizes missile defense in real time. This transformation has elevated AI-driven command systems to the core of military infrastructure, redefining defense industries as tech sectors centered on silicon and algorithms rather than traditional hardware. The shift extends beyond operational tactics, heralding a 'Defense Industry Revolution' that is fundamentally altering business models and global competition. As the U.S. Department of Defense advances the Joint All-Domain Command and Control (JADC2) concept, integrating sensors and strike capabilities into an AI-powered network, traditional defense firms now compete with data and AI tech companies like Palantir and Anduril. The battlefield's gravity has shifted from hardware (HW) to software (SW), demanding that 'K-Defense' evolve beyond exporting physical systems to offering packaged digital defense solutions. Meanwhile, the Ukraine War and recent Middle East conflicts highlight the dominance of low-cost, mass-producible unmanned systems over expensive strategic assets.